Reuters - "JPM and BAC to write down $3 billion in loans" (10-8-07)

"JPMorgan Chase and Bank of America are expected to disclose losses of about $3 billion in mortgage securities and leveraged loans when they report earnings this month, the Financial Times reported, citing an analyst. JPMorgan is likely to report mark-to-market losses on leveraged loans of about $1.4 billion and an additional $700 million in write-downs of mortgages and mortgage-backed securities, according to Howard Mason, analyst with Sanford Bernstein, the paper reported."

Washington Post - "Car Dealer Tactics on the New-Home Lot" (10-8-07)

"Won-Ki Choi and his wife Janice had their eye on the townhouse at East Market at Fair Lakes for some time. But the $536,449 price tag was much too high for them. Then they saw a newspaper ad from Ryland Homes: For two hours on a recent Saturday afternoon, the Calabasas, Calif.-based builder would sell 140 homes in the Washington area at a discount, through a silent auction."

Bloomberg - "Fitch Cuts Ratings on DBS, Lehman CDOs as Risk Rises" (10-8-07)

"Fitch Ratings cut ratings on two Asian collateralized debt obligations linked to company debt, indicating an increased risk of default, the company said today. Fitch lowered a $50.9 million synthetic CDO that is managed by DBS Group Holdings Ltd. by one level to AA+, the second- highest investment-grade. Fitch also cut a $12.6 million synthetic CDO arranged by Lehman Brothers Holdings Inc. by two levels to A."

Bloomberg - "U.S. Housing Decline Reveals Winners and Losers" (10-8-07)

"The U.S. housing bust is like a leaking ship. You may still be able to stay afloat, depending upon where and how bad the holes are. Will the home market continue to sink or is it just bobbing around waiting for buyers to rescue it? With odds almost favoring a recession due to the housing and mortgage meltdown, it's a good time to examine what makes local markets weak or robust."

Herald Tribune - "Subprime mortgage slipping into default at rapid pace" (10-8-07)

"Subprime mortgage bonds created in the first half of 2007 contain loans that are going delinquent at the fastest rate ever, according to Moody's Investors Service. The average rate of 'serious loan delinquencies' in the securities has been higher than 2006 bonds, Ariel Weil and Amita Shrivastava, analysts at Moody's Investors Service, wrote in a report last week. Serious loan delinquencies are those 60 days or more past due, including properties in foreclosure or already foreclosed upon."

Los Angeles Times - "Foreclosure in Santa Ana" (10-8-07)

"The LATimes checks in on a foreclosure-in-process in Santa Ana, reporting that foreclosures are rising among non-English speaking immigrants: 'We think this is just the tip of the iceberg, in terms of the breadth and depth,' said Steve Harding, Santa Ana's deputy city manager. Apart from the language barrier, he said, many first-generation immigrants might have been especially vulnerable to sub-prime lending because they avoided checking accounts and credit cards, which prevented them from qualifying for regular loans."